THE Commission on Audit has ruled in favor of the petition for money claim filed by OVT Graphic Line Inc. seeking payment from the City Government of Makati for materials/giveaways worth P1.12 million delivered during the 2015 Sampiro de Makati Festival Parade.
In a decision dated November 15, 2019 but released only last December 10, the COA Commission Proper said the contractor-supplier is entitled to payment under the principle of quantum meruit or due compensation for the commensurate amount of goods delivered or services rendered.
OVT Graphic executive Erlinda P. Tan said it won the contract through a public bidding held on June 2, 2015 after it submitted the lowest calculated responsive bid of P1.12 million against the city’s approved procurement budget of P1.125 million.
The firm said it completed delivery of the contracted goods to the Makati Tourism Office on June 9, 2015.
“Per the Inspection and Acceptance Report, the materials and giveaways were inspected, verified and found satisfactory as to quantity and specifications,” the claimant said.
This was supported by the Certificate of Acceptance issued in favor of OVT Graphics dated June 15, 2015.
However, Makati City in its answer dated October 10, 2016, asked for the dismissal of the petition saying there were defective or incomplete documentation including lack of signatures from former Mayor Jejomar Erwin Binay Jr. on several support papers including the Bids and Awards Committee Resolution, the Notice of Award, and the Purchase Order.
The city likewise invoked COA Circular No. 2012-001 which required proper documentation of any transaction before any payment could be released.
The supervising auditor, Office of the City Auditor, recommended the grant of the money claim noting that the city benefitted from the goods delivered by the contractor.
It added that the absence of the required signature was not attributable to the contractor-supplier but was caused by the suspension of Mayor Binay Jr. for a different issue.